Bemis Company, Inc. announced that it has signed a definitive agreement to acquire the medical device packaging operations and related value-added services of SteriPack Group, a global manufacturer of sterile packaging solutions for medical device and pharmaceutical applications. This acquisition includes a facility in Ireland as well as packaging production assets in Malaysia and the United States. These operations recorded annual net sales of approximately US$65 million in fiscal 2015. SteriPack Group will continue to independently own and operate its contract manufacturing services business. Details of the transaction were not disclosed. The transaction is expected to close effective April 29, 2016.
"This acquisition supports Bemis' strategy to grow our healthcare packaging business," said William F. Austen, President and Chief Executive Officer of Bemis Company, Inc. "SteriPack's strong customer relationships and modern clean room operations will complement our new and expanding global healthcare operations and will increase our capacity to meet the needs of the growing healthcare industry. We expect this acquisition to be modestly accretive to earnings per share in 2016."
XMS Capital Partners, LLC is acting as financial advisor and Squire Patton Boggs LLP is acting as legal advisor to Bemis Company.
Mason Hayes Curran is acting as legal advisor and Russell Brennan Keane and Deloitte are acting as tax advisors to SteriPack Group.
Statements in this release that are not historical, including statements relating to the expected future performance of the Company, are considered "forward-looking," and are presented pursuant to the safe harbor provisions of the Securities Litigation Reform Act of 1995. Such content is subject to certain risks and uncertainties, including but not limited to general economic conditions, future changes in cost or availability of raw materials, the ability to adjust selling prices, consumer buying patterns, changes in customer order patterns, the results of competitive bid processes, costs associated with the pursuit of business combinations or divestitures, a failure in our information technology infrastructure or applications, foreign currency fluctuations, changes in working capital requirements, changes in government regulations, and the availability and related cost of financing from banks and capital markets. Actual future results and trends may differ materially from historical results or those projected in any such forward-looking statements depending on a variety of factors, which are detailed in the Company's regular SEC filings including the most recently filed Form 10-K for the year ended December 31, 2015.
ABOUT STERIPACK GROUP
Founded in 1994, SteriPack Group provides cleanroom sterile packaging solutions and contract manufacturing services for many of the world's medical device, pharmaceutical, and allied healthcare industries. More information about SteriPack is available at http://steripackgroup.com/.
ABOUT BEMIS COMPANY, INC.
Bemis Company, Inc. ("Bemis" or the "Company") is a major supplier of flexible and rigid packaging used by leading food, consumer products, healthcare, and other companies worldwide. Founded in 1858, Bemis reported 2015 net sales of $4.1 billion. Bemis has a strong technical base in polymer chemistry, film extrusion, coating and laminating, printing, and converting. Headquartered in Neenah, Wisconsin, Bemis employs approximately 17,500 individuals worldwide. More information about Bemis is available at our website, www.bemis.com.